Nazara-Backed Rusk Media To Raise INR 74 Cr

SUMMARY

Rusk Media’s board passed a resolution to issue 11,663 Series B CCPS at an issue price of INR 63,493 to raise the sum

Led by Woori Venture Partners, the round will also see participation from IDBI Capital, LC Nueva, Yashaa Global Capital, Nodwin and Info Edge Ventures

The digital entertainment startup plans to use the funds to drive its business growth and meet its working capital requirements

Nazara-backed mobile-first digital entertainment startup Rusk Media is looking to raise INR 74.1 Cr (around $8.5 Mn) in its Series B funding round led by Woori Venture Partners.

The startup’s board passed a resolution on March 3 to issue up 11,663 Series B compulsorily convertible preference shares (Series B CCPS) having a face value of INR 10 each and a premium of 63,483 each to raise the sum, its regulatory filings showed.

Woori Venture Partners will infuse INR 26 Cr in Rusk Media, IDBI Capital Markets & Securities Ltd will invest INR 16.5 Cr, and LC Nueva Investment Partners will invest INR 15 Cr.

The remaining capital will come from Yashaa Global Capital and existing investors Info Edge Ventures, Nazara’s subsidiary Nodwin Gaming, among others.

The Delhi NCR-based startup said it would use the funds to fuel its business growth and meet its working capital requirements.

The development was first reported by Entrackr.

Founded in 2019 by Mayank Yadav, Rusk Media makes digital content targeted at GenZ audiences under brands such as Alright! (fictional channel), Playground (gaming entertainment intellectual property), and LIT (food, fashion and travel).

The startup claims that it has over 20 Mn subscribers and delivers more than 1 Bn monthly views across its intellectual properties on social media and OTT platforms such as Amazon miniTV, JioCinema and JioHostar.

In 2022, Rusk Media bagged $9.5 Mn in its extended Series A funding round led by Seoul-based DAOL Investment and Audacity Ventures. The startup primarily competes against new-age content platforms such as ScoopWhoop, TVF, FilterCopy, among others.

It must be noted that The Good Glamm Group sold its digital media unit ScoopWhoop to marketing firm Wubba Lubba Dub Dub (WLDD) for INR 20 Cr last month.

Rusk Media is not the only digital content platform that has charmed investors. In October 2023, Pep raised $2.5 Mn in a funding round led by India Quotient to build Amazon of content and digital services.

According to a report by Statista, the Indian media and entertainment industry is projected to reach a market size of $44.2 Bn by 2028 from $27.9 Bn in 2023, driven by digital media, online gaming and esports sector, OTT platforms and GenAI.